DEPARTMENT FOR WORK
AND PENSIONS News Release (PENS-089) issued by COI News Distribution
Service. 19 November 2008
Making the case
for saving was the challenge facing the pensions industry and
government, in the present economic climate, according to Pensions
Minister Rosie Winterton.
Speaking at a key industry gathering she said that Government had
taken steps to help ease the administrative and financial burden
on pension schemes, but it was still vital that the public were
reminded of the importance of continuing to save something for
retirement rather than just deciding to cut out pension provision
altogether at the present time.
Rosie Winterton said:
"I will be asking experts across the pensions industry to
consider how together we can best reach out to consumers to talk
to them in a sensible and helpful way about their pension and
about pension saving.
"It is interesting that until recently marketing encouraging
borrowing has outstripped marketing encouraging saving by three to one.
"Accepting that people are not saving enough and those who
are saving are considering their options, we need to be united in
our message that pension saving is for the long-term and one of
the best ways of providing for retirement."
Rosie Winterton pointed out that more was being done to give
people a fairer deal on pensions, with the creation of Personal
Accounts and changes to the State Pension that would give more
women and carers access to a full state pension.
She also said she wanted to continue the helpful dialogue with
industry and employers following measures taken to support pension
providers and scheme sponsors, including:
* the deregulatory measures in the Bill- with a reduction in the
revaluation cap from 5% to 2.5% for future accruals
* freezing
the PPF admin levy
* qualifying earnings
* the informal
consultation on section 75
* and the Regulator's guidance
on recovery plans
The Pensions Bill is due to receive Royal Assent this month.
Notes for Editors:
1. The full text of the speech can be found at http://www.dwp.gov.uk/aboutus/2008/19-11-08.asp
Textphone: 020 7238 0788
Public enquiries: 020 7712
2171
Website: http://www.dwp.gov.uk
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